Announcement • Jul 28
Spark New Zealand Limited Announces Transition to New Organisational Structure Comprising Two Divisions, Connectivity and Digital Services Spark New Zealand Limited announced the commencement of a strategic review of its Digital Services division. This builds on the direction set under SPK-30, which focused Spark on its core of connectivity, while simplifying and optimising beyond the core in IT services and cloud (Digital Services). Spark will transition to a new organisational structure comprising two divisions, Connectivity and Digital Services, with both enabled by centralised shared functions to maintain efficiency. This structure enhances end-to-end accountability and is designed to sharpen execution and accelerate progress towards Spark's FY30 ambitions. Connectivity will encompass consumer mobile, broadband, and business connectivity, including managed services, collaboration, IoT, and security. Digital Services will comprise cloud, IT services, and adjacent products. Strategic Review of Digital Services: Spark's Board has initiated a strategic review of the Digital Services division. The review follows the direction set under SPK-30 to prioritise Spark's core business of connectivity. Since the launch of SPK-30, Spark has made significant progress simplifying and optimising cloud and IT services, and the review represents the next logical step in assessing how to maximise the value and returns generated by this division for shareholders. There is no certainty that the review will result in a transaction, nor as to the terms or value of any outcome. An advisor has been appointed, and the review is expected to be completed during H1 FY27. Announcement • Jul 27
Spark New Zealand Limited Announces Executive Appointments Spark New Zealand Limited announced in line with the new structure, Spark has made the following changes to its Leadership Team. Chief Commercial Officer Mark Beder has been appointed Chief Customer Officer of Connectivity, with responsibility for the performance of Spark's core business. After a significant leadership career spanning 13 years with Spark, Customer Director Greg Clark has decided to explore new opportunities outside Spark. To support the implementation of the strategic review and enable a smooth transition to the new organisational structure, Greg has agreed to serve as Interim Chief Customer Officer of Digital Services until December 2026. Leela Ashford has been appointed Chief Marketing and Corporate Affairs Officer, spanning marketing, brand, corporate affairs, and sustainability. Following these changes, from 10 August 2026 Spark's Leadership Team1 will comprise: Jolie Hodson, CEO; Stewart Taylor, Chief Financial Officer; Mark Beder, Chief Customer Officer Connectivity; Chief Customer Officer Digital Services to be appointed; Tommy Bjorkberg, Chief Operating Officer (effective October 1, 2026); Matt Bain, Chief AI and Technology Officer; Leela Ashford, Chief Marketing and Corporate Affairs Officer; Heather Langton, Chief People and Culture Officer; John Wesley-Smith, Chief Legal and Strategy Officer. Announcement • Jul 23
Spark New Zealand Limited Announces Appointment of Tommy Bjorkberg to Chief Operating Officer, Effective October 1, 2026 Spark New Zealand Limited announced the appointment of Tommy Bjorkberg as Chief Operating Officer (COO), effective October 1, 2026. The Chief Operating Officer role has responsibility for network operations, business technology services, and cyber security. Tommy brings more than 25 years of international telecommunications and technology leadership experience, spanning mobile and fixed networks, cloud, and digital infrastructure. He is currently Vice President Network and Cloud at KPN in the Netherlands, where he leads strategy, transformation, and architecture across fixed, mobile, IP, cloud, and IT domains. Prior to that, he held senior leadership roles at Telefónica UK (O2), and Ericsson, working across the UK and Europe on large-scale network transformation programmes, using AI and automation to improve customer experience and operational efficiency. Declared Dividend • Aug 22
Final dividend of NZ$0.14 announced Shareholders will receive a dividend of NZ$0.14. Ex-date: 9th September 2025 Payment date: 3rd October 2025 Dividend yield will be 17%, which is higher than the industry average of 2.9%. Sustainability & Growth Dividend is not covered by earnings (183% earnings payout ratio) nor is it covered by cash flows (203% cash payout ratio). The dividend has increased by an average of 3.3% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. The company's earnings per share (EPS) would need to grow by 104% to bring the payout ratio under control. EPS is expected to grow by 15% over the next 3 years, which means the dividend may need to be reduced to reach a sustainable payout ratio. Reported Earnings • Aug 20
Full year 2025 earnings released: EPS: NZ$0.14 (vs NZ$0.17 in FY 2024) Full year 2025 results: EPS: NZ$0.14 (down from NZ$0.17 in FY 2024). Revenue: NZ$3.73b (down 3.5% from FY 2024). Net income: NZ$252.0m (down 20% from FY 2024). Profit margin: 6.8% (down from 8.2% in FY 2024). The decrease in margin was driven by lower revenue. Revenue is forecast to stay flat during the next 3 years compared to a 2.1% growth forecast for the Telecom industry in Europe. Over the last 3 years on average, earnings per share has fallen by 43% per year but the company’s share price has only fallen by 27% per year, which means it has not declined as severely as earnings. Announcement • Aug 14
Secure Asset Fund, managed by Pacific Equity Partners Pty Limited entered into an agreement to acquire 75% stake in Data Centre Business from Spark New Zealand Limited (NZSE:SPK) for approximately NZD 580 million. Secure Asset Fund, managed by Pacific Equity Partners Pty Limited entered into an agreement to acquire 75% stake in Data Centre Business from Spark New Zealand Limited (NZSE:SPK) for approximately NZD 580 million on August 12, 2025. A cash consideration of NZD 486 million will be paid by Pacific Equity Partners Pty Limited. Pacific Equity Partners Pty Limited will pay an earnout/contingent payment of NZD 98 million cash. As part of consideration, NZD 584 million is paid towards business division of Data Centre Business of Pacific Equity Partners Pty Limited. Spark New Zealand will retain 25% stake to continuing to participate in the growing market. The transaction values the data Centre business at up to NZD 705 million.
As part of the transaction, Spark will move its data Centre assets and operations into a new stand-alone company that is currently being referred to as ‘DC Co’, which will have its own Board, management team and debt financing facilities.
The transaction is subject to regulatory and customary consents including Overseas Investment Office approval.
The expected completion of the transaction is December 31, 2025. Proceeds will be used to reduce group net debt.
Jarden Securities Limited acted as financial advisor for Spark New Zealand Limited. RBC Capital Markets, Australia acted as financial advisor to Pacific Equity Partners Pty Limited. Announcement • Jun 12
KKR Reportedly Among Parties Doing Sums on Spark Buyout It is only a stake in its data centres that Spark New Zealand Limited (NZSE:SPK) has up for sale, but that does not appear to be deterring parties from weighing a deal to buy the entire $4 billion telecommunications provider. DataRoom can reveal that New York-based private equity powerhouse KKR & Co. Inc. (NYSE:KKR) has been considering a buyout of the entire company in recent months, as investment bank Jarden runs a process to sell a 50% stake in its data centres, with the half share valued at about NZD 400 million ($370 million). Spark, which was spawned out of government-owned entity Telecom, is New Zealand's version of Telstra - the nation's dominant telecommunications provider. First-round offers for the data centres were due last week, and infrastructure funds are conspicuously missing from the auction. But all the focus now from market insiders is on the parties considering a buyout proposal for Spark and whether a bid in fact eventuates. It is understood that there has been at least one private equity firm circling. Another logical suitor would be Swedish private equity firm EQT. Big infrastructure funds are not looking at the centres, sources say. Sources say data centre operator Next DC is taking a look, as is Global Data Centre Group. Announcement • May 20
Spark of Interest as Private Equity Reportedly Looks At Buyout The $3.7 billion Australia and New Zealand listed telecoms company Spark New Zealand Limited (NZSE:SPK) is understood to have at least two private equity firms running the ruler over the business for a buyout proposal. It comes as the group has an auction afoot through Jarden for its data centre assets, with hopes that they may fetch a price of about $800 million. DataRoom understands that buyout funds with expertise in telecommunication businesses are doing work on whether to make an offer for the largest telco across the Tasman that was previously owned by the New Zealand government. Funds that have experience running telcos abroad and previously bid for Australian telco Vocus when it was listed included Kohlberg Kravis Roberts and EQT, along with private equity firm Affinity. Brookfield is not a contender, but BGH Capital may be looking, along with TPG Capital, although some observers believe the business would be too operational for those parties. Well-connected sources believe any suitor would likely take the view that a deal could stack up at NZD 2.50, but not at NZD 3, so that means its share price would need to fall below NZD 2 - it's currently trading around NZD 2.18, or $2 in Australia. Yet Spark remains under pressure with large levels of debt (net debt was at almost NZD 1.7 billion at December), and it is a situation which has prompted the group to sell its capital-intensive data centres. Should it fail to achieve its price ambitions, an equity raising may need to occur, which could come at a deep discount, pushing its share price lower. Also in question is how long chairman Justine Smythe remains, with suggestions surfacing that her departure could be imminent. Australian-listed telecoms giant Telstra is understood to have weighed an acquisition of New Zealand counterpart Spark in recent years, sources say. However, it is understood to have passed on the opportunity, determining it was not the right priority for the No.1-listed Australian telco player, which has about 40% of the local market share. Some private equity firms have also shied away, not wanting such a large exposure to the New Zealand market. Also, some industry operatives question where the value will be for a private equity buyer, with many of the costs recently stripped out. But others believe in private hands, operatives can substantially lift the financial performance. A buyout fund would also need to consider what its sale options would be in future years, with another listing its likely only option, as Asian telcos are also adverse to major New Zealand investment. Announcement • May 12
Interest in Spark Lights Up Stonepeak Partners LP appears to be continuing its unrelenting march when it comes to investing in the Australian and New Zealand infrastructure space, with the global group believed to be weighing a move to buy Spark New Zealand Limited (NZSE:SPK)'s data centre portfolio that may sell for about $800 million. The US infrastructure investor that counts former Macquarie banker Darren Keogh in its top ranks is considering a purchase of Australia's largest diagnostic imaging provider, I-Med, and recently fended off competition from Williams and GIP to acquire a 40% interest in Woodside's Louisiana-based LNG Infrastructure. Stonepeak is listed in New York with more than $50 billion of assets under management and it joins groups like Canadian pension fund CDPQ and private equity firms like KKR, EQT and Pacific Equity Partners in considering a purchase of the assets across the Tasman. The data centres are up for sale through Jarden. The process has launched but is in its early stages as Spark seeks to get money through the door to pay down debt. Announcement • Feb 28
Caisse de dépôt et placement du Québec completed the acquisition of 50% stake in Connexa Limited from Ontario Teachers' Pension Plan Board and Spark New Zealand Limited (NZSE:SPK). Caisse de dépôt et placement du Québec agreed to acquire 50% stake in Connexa Limited from Ontario Teachers' Pension Plan Board and Spark New Zealand Limited (NZSE:SPK) for approximately AUD 310 million on December 12, 2024. A cash consideration of AUD 314 million will be paid by Caisse de dépôt et placement du Québec. As part of consideration, AUD 314 million is paid towards common equity of Connexa Limited. On completion of the transaction, Ontario Teachers’ and CDPQ will each hold a 50% co-controlling interest in Connexa.
Under the terms of the deal, Spark will remain a key customer of Connexa. Spark will continue to determine how its mobile network is developed, including where and when capacity investments occur, with Connexa then designing and deploying these build programmes. Spark will also continue to own all the 'smarts' of the network – such as radio equipment and spectrum.
The transaction is subject to approval by regulatory board / committee. The expected completion of the transaction is July 1, 2025 to September 30, 2025.
BofA acted as the exclusive financial adviser to Ontario Teachers' Pension Plan Board. Allens and Russell McVeagh acted as legal advisor to Caisse de dépôt et placement du Québec. The Allens legal team was led by Tom Story and Gavin Smith.
Caisse de dépôt et placement du Québec completed the acquisition of 50% stake in Connexa Limited from Ontario Teachers' Pension Plan Board and Spark New Zealand Limited (NZSE:SPK) on February 28, 2025.
As of February 28, 2025, regulatory approval has been received. Announcement • Feb 21
Spark New Zealand Limited Estimates Ordinary Dividend for the Period of Six Months Ended December 31, 2024, Payable on April 4, 2025 Spark New Zealand Limited estimated ordinary fully paid foreign exempt dividend of NZD 0.14154412 per security for the period of six months ended December 31, 2024. Record Date is March 21, 2025; Ex Date is March 20, 2025; Payment Date is April 4, 2025. Announcement • Dec 12
Caisse de dépôt et placement du Québec agreed to acquire 50% stake in Connexa Limited from Ontario Teachers' Pension Plan Board and Spark New Zealand Limited (NZSE:SPK) for approximately AUD 310 million. Caisse de dépôt et placement du Québec agreed to acquire 50% stake in Connexa Limited from Ontario Teachers' Pension Plan Board and Spark New Zealand Limited (NZSE:SPK) for approximately AUD 310 million on December 12, 2024. A cash consideration of AUD 314 million will be paid by Caisse de dépôt et placement du Québec. As part of consideration, AUD 314 million is paid towards common equity of Connexa Limited. On completion of the transaction
Ontario Teachers’ and CDPQ will each hold a 50% co-controlling interest in Connexa.
Under the terms of the deal, Spark will remain a key customer of Connexa. Spark will continue to determine how its mobile network is developed, including where and when capacity investments occur, with Connexa then designing and deploying these build programmes. Spark will also continue to own all the 'smarts' of the network – such as radio equipment and spectrum.
The transaction is subject to approval by regulatory board / committee. The expected completion of the transaction is July 1, 2025 to September 30, 2025.
BofA acted as the exclusive financial adviser to Ontario Teachers' Pension Plan Board. Announcement • Nov 26
Spark New Zealand Limited Appoints Stewart Taylor as Chief Financial Officer, Effective 9 December 2024 Spark New Zealand Limited announced the appointment of Stewart Taylor as Chief Financial Officer, effective 9 December 2024. Stewart has over 25 years' experience across a range of finance and executive roles in the financial services sector. He was most recently Chief Financial Officer at Partners Life, where he worked with private equity firm Blackstone on the sale and transition of ownership of the business to Dai-ichi Life Holdings. This followed a substantial 15-year career at ANZ New Zealand, including as Chief Financial Officer for over four years and Chief Executive Officer of ANZ Investments, along with a series of other senior finance roles. Stewart is a Chartered Accountant, holds a Bachelor of Arts in Economics from the University of Durham, and is a graduate of the Australian Institute of Company Directors. As previously announced, outgoing Finance Director Stefan Knight will depart the business on 20 December 2024. Once the changes are effective the Spark Leadership Squad will include: Jolie Hodson, CEO, Stewart Taylor, Chief Financial Officer, Mark Beder, Customer Director Enterprise and Government, Greg Clark, SME and Consumer Director, Matt Bain, Marketing Director, Renee Mateparae, Network and Operations Director, Heather Polglase, People and Culture Director, Melissa Anastasiou, General Counsel, Leela Ashford, Corporate Relations and Sustainability Director, John Wesley-Smith, Strategy and Regulatory Director. Announcement • Aug 30
Spark New Zealand Limited Announces Board Changes Spark New Zealand Chair Justine Smyth announced that Alison Barrass will not be seeking re-election at Spark's Annual Meeting of Shareholders on 1 November 2024, and will be stepping down from the Spark Board, effective from the close of the meeting. Alison is currently Chair of the Human Resources and Compensation Committee, and sits on the Nominations and Corporate Governance Committee. Declared Dividend • Aug 26
Final dividend of NZ$0.16 announced Shareholders will receive a dividend of NZ$0.16. Ex-date: 12th September 2024 Payment date: 4th October 2024 Dividend yield will be 12%, which is higher than the industry average of 2.9%. Sustainability & Growth Dividend is not covered by earnings (159% earnings payout ratio) nor is it covered by cash flows (310% cash payout ratio). The dividend has increased by an average of 4.5% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. The company's earnings per share (EPS) would need to grow by 76% to bring the payout ratio under control. EPS is expected to grow by 26% over the next 3 years, which means the dividend may need to be reduced to reach a sustainable payout ratio. Reported Earnings • Aug 23
Full year 2024 earnings released: EPS: NZ$0.17 (vs NZ$0.61 in FY 2023) Full year 2024 results: EPS: NZ$0.17 (down from NZ$0.61 in FY 2023). Revenue: NZ$3.86b (down 14% from FY 2023). Net income: NZ$316.0m (down 72% from FY 2023). Profit margin: 8.2% (down from 25% in FY 2023). The decrease in margin was primarily driven by lower revenue. Revenue is forecast to grow 2.0% p.a. on average during the next 3 years, compared to a 1.8% growth forecast for the Telecom industry in Germany. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Announcement • May 06
Spark New Zealand Limited Reaffirms Dividend Guidance for the Full Year 2024 Spark New Zealand Limited reaffirmed dividend guidance for the full year 2024. For the period, the company expected dividend of 27.5 cents per share compared to previous guidance of 27.5 cents per share. Announcement • Mar 29
Spark New Zealand Limited (NZSE:SPK) announces an Equity Buyback for 33,659,451 shares, representing 5% for NZD 45 million. Spark New Zealand Limited (NZSE:SPK) announces a share repurchase program. Under the plan, the company will repurchase up to 33,659,451 shares, representing 5% of issued share capital for NZD 45 million. The repurchased shares will be cancelled. The program will be valid for 12 months. Upcoming Dividend • Mar 14
Upcoming dividend of NZ$0.16 per share Eligible shareholders must have bought the stock before 21 March 2024. Payment date: 05 April 2024. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 5.4%. Within top quartile of German dividend payers (5.0%). Higher than average of industry peers (3.3%). Declared Dividend • Mar 01
First half dividend of NZ$0.16 announced Shareholders will receive a dividend of NZ$0.16. Ex-date: 21st March 2024 Payment date: 5th April 2024 Dividend yield will be 8.8%, which is higher than the industry average of 2.9%. Sustainability & Growth Dividend is not covered by earnings (117% earnings payout ratio) nor is it covered by cash flows (335% cash payout ratio). The dividend has increased by an average of 5.4% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. The company's earnings per share (EPS) would need to grow by 30% to bring the payout ratio under control. EPS is expected to grow by 14% over the next 3 years, which means the dividend may need to be reduced to reach a sustainable payout ratio. New Risk • Feb 28
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 11% Last year net profit margin: 24% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Payout ratio: 117% Cash payout ratio: 335% Minor Risks High level of debt (89% net debt to equity). Profit margins are more than 30% lower than last year (11% net profit margin). Announcement • Dec 20
Spark New Zealand Limited, Annual General Meeting, Nov 01, 2024 Spark New Zealand Limited, Annual General Meeting, Nov 01, 2024. Announcement • Oct 18
Spark New Zealand Limited (NZSE:SPK) signed a conditional agreement to acquire remaining 53% stake in Adroit Group of Companies. Spark New Zealand Limited (NZSE:SPK) signed a conditional agreement to acquire remaining 53% stake in Adroit Group of Companies on October 17, 2023. Announcement • Sep 22
Spark New Zealand Announces Board Changes Spark New Zealand Chair Justine Smyth announced that Charles Sitch has decided to step down from the Spark Board, effective from the close of Spark's Annual Meeting of Shareholders on 3 November 2023. Charles has been a Director on the Spark Board since 2011 and is currently Chair of the Audit Risk Management Committee. Gordon MacLeod has been appointed Chair of the Audit Risk Management Committee, effective from the close of the Annual Meeting of Shareholders on 3 November 2023. Announcement • Sep 21
Spark New Zealand Limited Announces Dividend for the Six Months Ended June 30, 2023, Payable on October 6, 2023 Spark New Zealand Limited announced ordinary dividend of NZD 0.15882353 per security for the six months ended June 30, 2023. Record Date is September 15, 2023; Ex Date is September 14, 2023; Payment Date is October 6, 2023. Upcoming Dividend • Sep 07
Upcoming dividend of NZ$0.16 per share at 5.5% yield Eligible shareholders must have bought the stock before 14 September 2023. Payment date: 06 October 2023. Payout ratio is a comfortable 44% but the company is paying out more than the cash it is generating. Trailing yield: 5.5%. Within top quartile of German dividend payers (4.8%). Higher than average of industry peers (3.1%). New Risk • Aug 18
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 54% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Major Risks Earnings are forecast to decline by an average of 19% per year for the foreseeable future. High level of non-cash earnings (28% accrual ratio). Minor Risks High level of debt (54% net debt to equity). Dividend is not well covered by cash flows (161% cash payout ratio). Reported Earnings • Aug 18
Full year 2023 earnings released: EPS: NZ$0.61 (vs NZ$0.22 in FY 2022) Full year 2023 results: EPS: NZ$0.61 (up from NZ$0.22 in FY 2022). Revenue: NZ$4.49b (up 21% from FY 2022). Net income: NZ$1.14b (up 177% from FY 2022). Profit margin: 25% (up from 11% in FY 2022). The increase in margin was driven by higher revenue. Revenue is expected to decline by 1.0% p.a. on average during the next 3 years, while revenues in the Telecom industry in Germany are expected to grow by 2.8%. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Jul 23
Spark Appoints John Wesley-Smith as Strategy and Regulatory Director, Effective from 1 August 2023 Spark announced the appointment of John Wesley-Smith to the role of Strategy and Regulatory Director, which will form part of the Leadership Squad from 1 August 2023. John joined Spark in 2005 and is currently Regulatory and Industry Affairs Lead. Having led the company's regulatory team for the last 14 years, John has significant knowledge of the sector and the drivers of value within it. He has also played a pivotal role in Spark's major capital investments and transactions, including the recent sale of a majority stake in the company's passive mobile infrastructure assets. From 1 August, the Spark Leadership Squad will be as follows: Jolie Hodson, CEO, Melissa Anastasiou, General Counsel, Matt Bain, Marketing Director, Mark Beder, Customer Director Enterprise and Government, Greg Clark, SME and Consumer Director, Leela Gantman, Corporate Relations and Sustainability Director, Stefan Knight, Finance Director, Renee Mateparae, Network and Operations Director, Heather Polglase, People and Culture Director, Tessa Tierney, Product Director, John Wesley-Smith, Strategy and Regulatory Director. Announcement • Jun 23
Spark New Zealand Appoints Renee Mateparae to the Role of Network and Operations Director, Effective from 1 July 2023 Spark New Zealand announced the appointment of Renee Mateparae to the role of Network and Operations Director, which is part of Spark's Leadership Squad. Spark previously announced Leadership Squad changes in March, with the creation of two Customer Director roles that will provide greater focus on both the enterprise and small-medium business segments of the market. As a result of these changes Spark announced its intention to complete a search process for the Network and Operations Director role. Renee brings with her a broad depth of experience that spans leadership roles across Spark and other large New Zealand businesses. Renee joined Spark in 2017 and is currently Technology Evolution Tribe Lead - responsible for Spark's emerging technology development, including the roll-out of its 5G and IoT networks. Prior to joining Spark, Renee was Head of Product Strategy at BNZ and spent five years at Air New Zealand, working across a variety of senior strategy roles. In 2019 Renee was appointed to the board of The Warehouse Group for a two-year term as part of the Future Directors programme. Renee will join the Leadership Squad from 1 July 2023. From that time, the Spark Leadership Squad will be as follows: Jolie Hodson, CEO, Melissa Anastasiou, General Counsel, Matt Bain, Marketing Director, Mark Beder, Customer Director Enterprise and Government, Greg Clark, SME and Consumer Director, Leela Gantman, Corporate Relations and Sustainability Director, Stefan Knight, Finance Director, Renee Mateparae, Network and Operations Director, Heather Polglase, People and Culture Director and Tessa Tierney, Product Director. Recent Insider Transactions • May 31
Marketing Director recently sold €133k worth of stock On the 26th of May, Matthew Bain sold around 45k shares on-market at roughly €2.96 per share. This transaction amounted to 70% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €301k more than they bought in the last 12 months. Upcoming Dividend • Mar 09
Upcoming dividend of NZ$0.16 per share at 5.4% yield Eligible shareholders must have bought the stock before 16 March 2023. Payment date: 06 April 2023. Payout ratio is a comfortable 46% but the company is paying out more than the cash it is generating. Trailing yield: 5.4%. Within top quartile of German dividend payers (4.8%). Higher than average of industry peers (3.3%). Buying Opportunity • Feb 23
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 7.9%. The fair value is estimated to be €3.70, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.5% over the last 3 years. Earnings per share has grown by 24%. For the next 3 years, revenue is forecast to grow by 1.0% per annum. Earnings is forecast to decline by 4.8% per annum over the same time period. Reported Earnings • Feb 22
First half 2023 earnings released: EPS: NZ$0.45 (vs NZ$0.096 in 1H 2022) First half 2023 results: EPS: NZ$0.45 (up from NZ$0.096 in 1H 2022). Revenue: NZ$2.53b (up 34% from 1H 2022). Net income: NZ$837.0m (up 368% from 1H 2022). Profit margin: 33% (up from 9.5% in 1H 2022). Revenue is forecast to grow 1.2% p.a. on average during the next 3 years, compared to a 2.2% growth forecast for the Telecom industry in Germany. Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Board Change • Oct 31
High number of new directors Independent & Non-Executive Director Gordon MacLeod was the last director to join the board, commencing their role in 2022. Recent Insider Transactions • Oct 21
Insider recently sold €119k worth of stock On the 18th of October, Grant McBeath sold around 40k shares on-market at roughly €2.97 per share. This transaction amounted to 100% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €231k. Insiders have been net sellers, collectively disposing of €206k more than they bought in the last 12 months. Recent Insider Transactions • Sep 21
Independent Chairman of the Board recently bought €108k worth of stock On the 14th of September, Justine Gay Smyth bought around 33k shares on-market at roughly €3.24 per share. This transaction amounted to 7.1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Justine Gay has been a buyer over the last 12 months, purchasing a net total of €228k worth in shares. Upcoming Dividend • Sep 08
Upcoming dividend of NZ$0.15 per share Eligible shareholders must have bought the stock before 15 September 2022. Payment date: 07 October 2022. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 4.9%. Within top quartile of German dividend payers (4.7%). Higher than average of industry peers (3.5%). Recent Insider Transactions • Sep 06
Chief Operating Officer recently sold €232k worth of stock On the 5th of September, Mark Beder sold around 70k shares on-market at roughly €3.32 per share. This transaction amounted to 26% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Mark's only on-market trade for the last 12 months. Board Change • Sep 02
High number of new directors Independent & Non-Executive Director Gordon MacLeod was the last director to join the board, commencing their role in 2022. Reported Earnings • Aug 24
Full year 2022 earnings released: EPS: NZ$0.22 (vs NZ$0.21 in FY 2021) Full year 2022 results: EPS: NZ$0.22 (up from NZ$0.21 in FY 2021). Revenue: NZ$3.72b (up 3.5% from FY 2021). Net income: NZ$410.0m (up 6.8% from FY 2021). Profit margin: 11% (in line with FY 2021). Over the next year, revenue is forecast to grow 1.3%, compared to a 2.0% growth forecast for the Telecom industry in Germany. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Upcoming Dividend • Mar 17
Upcoming dividend of NZ$0.15 per share Eligible shareholders must have bought the stock before 24 March 2022. Payment date: 08 April 2022. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 5.3%. Within top quartile of German dividend payers (3.6%). Higher than average of industry peers (3.7%). Recent Insider Transactions • Mar 04
General Counsel recently sold €56k worth of stock On the 1st of March, Melissa Anastasiou sold around 20k shares on-market at roughly €2.82 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €219k more than they bought in the last 12 months. Reported Earnings • Feb 24
First half 2022 earnings: EPS in line with analyst expectations despite revenue beat First half 2022 results: EPS: NZ$0.096 (up from NZ$0.08 in 1H 2021). Revenue: NZ$1.89b (up 5.2% from 1H 2021). Net income: NZ$179.0m (up 22% from 1H 2021). Profit margin: 9.5% (up from 8.2% in 1H 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 3.4%. Over the next year, revenue is forecast to grow 1.2%, compared to a 2.3% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has increased by 5% per year. Upcoming Dividend • Sep 09
Upcoming dividend of NZ$0.15 per share Eligible shareholders must have bought the stock before 16 September 2021. Payment date: 01 October 2021. Trailing yield: 5.2%. Within top quartile of German dividend payers (3.2%). Higher than average of industry peers (3.3%). Reported Earnings • Aug 18
Full year 2021 earnings released: EPS NZ$0.21 (vs NZ$0.23 in FY 2020) The company reported a poor full year result with weaker earnings and profit margins, although revenues were flat. Full year 2021 results: Revenue: NZ$3.59b (flat on FY 2020). Net income: NZ$384.0m (down 10% from FY 2020). Profit margin: 11% (down from 12% in FY 2020). Over the last 3 years on average, earnings per share has increased by 3% per year whereas the company’s share price has increased by 7% per year. Analyst Estimate Surprise Post Earnings • Feb 25
Revenue beats expectations Revenue exceeded analyst estimates by 1.5%. Over the next year, revenue is forecast to grow 1.0%, compared to a 7.1% growth forecast for the Telecom industry in Germany. Reported Earnings • Feb 25
First half 2021 earnings released: EPS NZ$0.08 (vs NZ$0.091 in 1H 2020) The company reported a poor first half result with weaker earnings, revenues and profit margins. First half 2021 results: Revenue: NZ$1.80b (down 1.5% from 1H 2020). Net income: NZ$148.0m (down 11% from 1H 2020). Profit margin: 8.2% (down from 9.2% in 1H 2020). Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has increased by 13% per year, which means it is tracking significantly ahead of earnings growth. Is New 90 Day High Low • Dec 30
New 90-day high: €2.77 The company is up 9.0% from its price of €2.55 on 01 October 2020. The German market is also up 9.0% over the last 90 days, indicating the company’s price trend is similar to the market over that time. However, it outperformed the Telecom industry, which is up 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €2.87 per share. Is New 90 Day High Low • Oct 30
New 90-day low: €2.53 The company is down 6.0% from its price of €2.71 on 31 July 2020. The German market is down 4.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Telecom industry, which is down 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €2.93 per share. Recent Insider Transactions • Oct 03
Independent Chairman of the Board recently bought €66k worth of stock On the 1st of October, Justine Gay Smyth bought around 25k shares on-market at roughly €2.65 per share. This was the largest purchase by an insider in the last 3 months. This was Justine Gay's only on-market trade for the last 12 months. Recent Insider Transactions • Sep 23
Independent Non-Executive Director recently bought €62k worth of stock On the 17th of September, Paul Berriman bought around 23k shares on-market at roughly €2.70 per share. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold €327k more in shares than they bought in the last 12 months. 
